ADMINISTRATIVE PROCEDURE MANUAL SECTION TITLE NUMBER PAGE EQUIPMENT PURCHASES IN EXTERNALLY FUNDED GRANTS AND CONTRACTS 04-1502 1 OF 2 BASED ON BOARD OF TRUSTEES’ RULE AND TITLE DATE REVISED 6Hx7-4.12 Property February 12, 2013 Purpose The purpose of this section is to set forth guidelines to follow in making sound decisions on whether to include or not include equipment purchases in externally funded grants and contracts. Procedure A. Specific terms for managing personal or real property are specified by external funding agencies in their requests for proposals (RFPs). The College, as a grant recipient or contractor, is subject to monitoring for compliance with the rules of property usage and disposal. Sanctions may be imposed by the funding agency if a contractor is in violation of the conditions of property management standards. In view of the aforementioned, prudent consideration should be given to the worth, benefits and risks that are involved in the purchase of personal or real property with the use of external funds. To that end, the following actions must be taken prior to the submission of proposals that include plans to purchase personal or real property in part or in full. B. If after funding agency guidelines have been reviewed and it is determined that there are minimal to no restrictions for the use and/of disposal of property, the proposed supervising administrator and appropriate executive officer's signature will be required to acknowledge approval to include property purchases in the proposed budget and their understanding and acceptance of the applicable agency's terms. C. Examples of minimal restriction would include but not be limited to the following terms: 1. Purchases of personal property must have prior approval from funding agency; shall be used for the purpose of the program; must be inventoried and reported annually; and must have approval for disposal when no longer used for the original program. D. If after funding agency guidelines have been reviewed and it is determined that there are substantial restrictions for the use and/or disposal of property, the proposed budget must be submitted to the Vice President for Administrative Services. E. Examples of substantial restriction would include but not be limited to the following terms: 1. Title to equipment is retained by the funding agency; equipment usage is restricted to eligible program participants only; equipment not used must be returned to the funding agency. ADMINISTRATIVE PROCEDURE MANUAL SECTION TITLE NUMBER PAGE EQUIPMENT PURCHASES IN EXTERNALLY FUNDED GRANTS AND CONTRACTS 04-1502 2 OF 2 BASED ON BOARD OF TRUSTEES’ RULE AND TITLE DATE REVISED 6Hx7-4.12 Property February 12, 2013 F. Proposals for on-going projects affected by substantial use and/or disposal restrictions for personal or real property must be presented to the EVPC prior to each submission whenever additional property purchases are anticipated. G. In every case, due regard must be given to specific requirements for the renovation of facilities or the availability of space. Whenever there are questions or cause for concern, the proposal in process must be brought before the EVPC. H. The resource development office will be responsible for placing the proposal on the EVPC agenda for review and discussion. I. If the EVPC agrees that the proposed acquisition should be included, the appropriate executive officer's signature must be obtained. Adopted Date: September 14, 1993 Revision Date: February 12, 2013